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It is not an issue of tax but of US duty. Foreign goods pay a duty upon arrival into the US. If a foreign flagged vessel comes to US and is for sale, the assessed duty is 1.5% of market value. If the owner does not want to pay the duty, then the foreign vessel can be offered for sale but not to US residents while in US waters. Therefore prospective clients must be non US residents or the boat is taken offshore for a showing. There is a "boat show" caveat; also NAFTA exempts boats built in Canada or other trade countries.
It is highly recommended that a customs broker be consulted for details and advice.
Judy Waldman
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